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Crusty Cakes sells donuts in Eastown and Westown. Its total costs are given by TC = 10(Qe+Qw). The demand in each neighbourhood is given by Qe = 100 - 2Pe and Qw = 100 - Pw. If Crusty price discriminates between the two neighbourhoods, how much are its maximized profits?
a. $850
b. $1200
c. $2475
d. $2825
e. $3250
Suppose that a car was produced but not sold in 2011. The car could still be sold in 2012. According to the book, the car would be counted as part of:
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